2. Agenda
• Product Feed (14)
• Media Feed (16)
• Free Amazon Prime (17)
• Marketing Plan (18)
• Advertising Strategy (20)
• Direct Marketing Strategy (23)
• Financials (30)
• Sales Promotion (31)
• Public Relations (32)
• Environmental and Social Program
(33)
• Secured Service Program (34)
• Social Media Strategy (35)
• Who Is The Smartphone User? (Slide 3)
• Who Is The Mobile E-commerce user?
(4)
• Who Is The Ebook/tablet User? (5)
• Who Is The Amazon User? (6)
• Smartphone Market Share Distribution
(7)
• iPhone (8)
• Samsung (9)
• HTC (10)
• Blackberry (11)
• Nokia (12)
• Amazon Alpha (13)
3. Who Is The Smartphone User?
• Smartphone market share is 91.6%
• Tech savvy
• Age 11-74
• Income $15,000+
• Uses: text, email, and photo sharing
• Users 35-44 low brand loyalty
4. • Mobile sales are non-competitive to
desktop computer sales
• Majority of purchases are familiar items
• 24-35 year old smartphone purchases
• 35-44 tablet purchases
• Missing opportunity= Big ticket items
50% of mobile phone/tablet
owners have placed a purchase
on their mobile device
Who Is The Mobile E-commerce
User?
5. Who Is The E-reader/Tablet
User?
• Increased portability & multi-
tasking capabilities
• Tablets ages 17-44
• E-readers ages 35-44
• 70% for tablet users and 35% of e-
readers
• 61% of e-reader owners use their
devices while in bed
6. Who Is The Amazon User?
• “Began as Earth’s biggest book store and
grew into Earth’s biggest everything
store.”
• Target demographic: 25-64 with an
income of $50,000+
• The overall E-commerce user
• Tablet user:
• Kindle
• Kindle Fire
• Kindle Paperwhite
13. Amazon Alpha
Carrier: AT&T
Manufacturer: Quanta
Operating System: Android
Price: $639.99 (without contract)
Main Features
• Product Feed
• Free Amazon Prime
• Amazon Media
14. Product Feed
• We want to emphasize on making the
“Amazon Alpha” an Amazon based phone
• By that, we mean, creating an Amazon
“news feed” as a secondary homepage.
• Creating the Amazon news feed will
prevent people from using their Web
browser and downloading the Amazon
mobile application.
• The phone will be set up so that it’s
already apart of the phone so all the
customer will have to do is set up their
account info
15. Product Feed
• The product feed will all be based
on our customer’s preference
• For example. If our customer
shops for watches, we would have
him/her indicate his/her
preference
• Brand
• Material
• Case Shape
• Movement
• Band Width
• Color
• Case Diameter & etc.
• By doing this, we’ll be able to have a
customized news feed dedicated to our
customer
• He/She will have the choice to keep
their interests separated (which will be
organized within tabs/folders) or
combined so that everything is under
one news feed
• Based on click-through and past
orders, we’ll put their “most likely” to
buy products on the top of the news
feed
16. Media Feed
• Like the product feed, we want to
create another section of the homepage
dedicated to media (movies, music, and
ebooks)
• In this section one is able to
• Stream movies
• Set up a music playlist
• Download ebooks
17. Free Amazon Prime
Amazon Prime includes:
• Unlimited FREE Two-Day Shipping with
no minimum order size
• FREE Release-Date Delivery on videos,
games, and more
• Unlimited instant streaming of thousands of
movies and TV shows with Prime Instant
Videos
• A Kindle book to borrow for free each
month from the Kindle Owners’ Lending
Library
The Math
• Normally when a customer upgrades to
Amazon Prime, they pay a one time
$79 fee for one-year of Amazon Prime
service.
• We want to add the $79 yearly fee into
the customer’s phone bill so that both
the consumer and Amazon will benefit
from this.
• If we make the $79 fee part of our
customer’s bill, it comes out to an
additional $6.58 a month.
• The customer wont notice because
they aren’t paying an additional fee,
instead, this will be part of the phone
services fee.
18. Marketing Plan
Objective:
• Cohesive message
• Create awareness
• Smartphone sales
Strategy/ Tactics:
Intertwine data from multiple marketing
strategies:
• General advertising- awareness
• Direct marketing- immediate transaction
• Sales promotion- short-term sales boost
• PR- to influence consumers’ attitudes,
opinions and values
• Social media to create buzz and recruit fans
19. • Coordinating marketing efforts
improves analytics and helps us
better understand our customer
journey
• Quantify marketing mix- what
affect ads have on consumers and
the bottom line
• Allocate ad dollars in the most
profitable and affective manner
• ‘What-if’ scenarios based on the
based on manipulating inputs
• Ability to manipulate marketing
efforts in real-time based on ad
performance
Rationale
20. Advertising Strategy
Objective:
Increase awareness of Amazon Alpha & create buzz around the product launch
Strategy:
Digital campaign with a strong ad presence on all social media channels
Tactics:
Display ads endorsing our sales promotion and educating viewers about the
features and benefits of our new smartphone
Rationale:
Vast amount of users and extensive reach capabilities are vital to our goal of
creating awareness and generating buzz
22. Direct Marketing StrategyObjective:
Utilize several advertising tactics across multiple marketing
channels to derive an immediate response/ transaction from
prospective customers
*End Goal= Sell 1 million Amazon Alpha smartphones
Strategy:
Several databases and information sources will be utilized to
accomplish our direct marketing goals including but not
limited to:
• Amazon’s in-house databases
• Kindle user data
• E-commerce customer data
• AT&T’s in-house database
• Profiles of cell phone users
• Additional external research
*By focusing on our in-house
resources, we are able to
obtain prospects in the most
cost efficient manner.
23. Tactics
• From our in-house database we’re able to extract consumer data that exemplifies
characteristics of our target market
• Overlay with AT &T subscribers and the profile of a mobile phone user
• Profile for prospective Amazon Alpha users as well as segment which customers are
likely to generate an immediate response to our ads
These ads include:
• Acquisition e-mails
• Display ads
• Search ads
• Banner ads
24. Tactics
First use in-house database to identify prospective buyers based on:
• Click-throughs
• Shopping patterns/purchasing behaviors
• Customer profile (demographics, psychographics, geographics)
• RFM data
Information will be overlayed with profiles from AT&T’s database to segment prospective
customers who are, or will soon be:
• Eligible for a phone update
• Renewing a contract
• Looking to purchase a new phone for various other reasons
*Based on this information, ads will be specifically targeted towards those users.
25. Search Ad
Tactics
Keyword searches
such as ‘smartphones’
that reflect potential
purchasing behavior
*By correlating our
ads with these key
word searches, we are
able to optimize the
marketing
impressions made on
prospective
customers.
26. Tactics
Amazon’s RFM data in conjunction with additional customer management systems
will also be utilized to segment avid Amazon customers.
Characteristics of these individuals are:
• Dedicated to Amazon
• Purchase from Amazon frequently
• Valuable life-long customers
• Perfect candidates to transition to Amazon’s mobile branch
*We will use our advertising efforts to target these individuals and transition them into
the new mobile branch of Amazon Alpha.
28. Rationale
• Using data and advanced analytic software to segment prospects provides
valid insight to individuals who are potential Amazon Alpha users
• Produce immediate transactions through call-to-actions and promotional
incentives
• Optimize our marketing mix
• Ability to manipulate marketing efforts in real-time based on ad
performance
29. Sales
In order to sell one million Amazon Alpha smartphones we must send out 100,000,000
“messages” at a 1% conversion rate regardless of the marketing channel. When the ad is seen
by a viewer, this is considered an impression. We must make two billion impressions to
achieve 100,000,000 click-throughs at a 2% click-through rate; therefore, achieving our goal of
selling one million smartphones. This will cost roughly $2 million dollars based on cost per
click.
The Math:
• Conversion Rate: 1%
• 1,000,000 phones sold/1% CR= 100,000,000 messages sent
• Impressions/click-throughs= 2% CTR
• 100,000,000 click-throughs/ 1,000,000 phones sold= 2 billion impressions
• Impressions/click-throughs= 2% CTR
• Cost per thousand: 2 billion impressions/1,000 =$2 million
30. Sales Promotion
Objective: Generating short term sales in the span of 3
months
Strategy: We want to offer customers a $25 Amazon gift
card when he/she purchase the “Amazon Alpha”
Tactic: With this specific gift card, we’ll be able to track
whether our promotion will be effective or not by a track
able number on the card.
Rationale: Because “Amazon Alpha” is an Amazon.com
based phone, we want to give our potential customers a
reason to buy the phone, as well as shop on Amazon.com
using their new $25 gift card.
31. Public Relations
Objective:
• Influence a favorable attitude towards the
launching of the Amazon Alpha through our
environmental, social programs and because
of our secured web service.
Strategy/ Tactics:
Launch “Alpha Series”, a video collection which allows
customers to see first hand:
• Testimonials of customers and distributors who
use the phone
• Workers and Developers who assisted with the
manufacturing of the Alpha
• Social and environmental impact that the Alpha
has.
• Touring of Amazon’s secured data facilities
Alpha Series will be featured on major social media
networks like Facebook, Twitter, and LinkedIn
Alpha Series will be
featured on major social
media networks like
Facebook, Twitter, and
LinkedIn
32. • Amazon Alpha is made from post consumer
materials
• Longer battery life to reduce Carbon Dioxide
emissions per hour.
• Our manufacturers are monitored by Amazon
representatives to ensure that child labor laws
are enforced.
• Workers are paid a livable wage
• Our environmental impact is monitored by a
third party organization, Carbon Fund.
• We sponsor several charities that fight
pollution and issues that plague individuals
everyday (water, food, lack of technology
amongst the poor)
Environmental and Social
Program
33. Secured Service Program
• Our web service delivers on reliability and
availability through our cloud computing
platform
• Secured data centers
• Our service is secure for both distributors and
consumers
• We have and will continue to complete all
reports and certifications as required by third
party entities
34. Amazon Alpha Media
Platforms
Social Media Strategy
• Our goal is to introduce our PR campaign through a
cohesive social media strategy across different social
media platforms.
• We will express this through our Alpha Series which
will be featured on different social media networks to
create a buzz:
• Facebook
• Twitter
• LinkedIn
